Business organisation and environment

Table of Contents

1. Topic pack - introduction
2. 1.1 Nature of business activity - notes
3. 1.1 Nature of business activity - questions
   1. Economic structure
   2. Self-test questions - economic structure
   3. Factors of production - self-test
4. 1.2 Types of organisation - notes
5. 1.2 Types of organisation - questions
6. 1.3 Organisational objectives - notes
7. 1.3 Organisational objectives - questions
8. 1.4 Stakeholders - notes
9. 1.4 Stakeholders - questions
10. 1.5 External environment - notes
11. 1.5 External environment - questions
12. 1.5 External environment - simulations and activities
13. 1.6 Organisational planning tools - notes
14. 1.6 Growth and evolution - notes
15. 1.7 Growth and evolution - questions
16. 1.7 Growth and evolution - simulations and activities
17. 1.6 Change (HL only) - notes
18. 1.9 Globalisation - notes
19. 1.9 Globalisation - questions
20. Print View

Factors of production - self-test

1

Factors of production How would you classify the factor of production shown in the image below? a) Land b) Labour c) Capital d) Enterprise Please select an answerNo, that's not right. Land includes natural resources, raw materials and the natural environment, as well as land/water itself. These machines do not come under these headings.No, that's not right. Labour is people. No people here!Yes, that's correct. Well done. These diggers can be termed 'manufactured resources' and will be included in the value of the capital stock in an economy.No, that's not right. Enterprise involves the work of the entrepreneur and this is not evident here.

2

Factors of production How would you classify the factor of production shown in the image below? a) Land b) Labour c) Capital d) Enterprise Please select an answerNo, that's not right. Land includes natural resources, raw materials and the natural environment, as well as land/water itself. These electricity pylons do not come under these headings.No, that's not right. Labour is people. No people here!Yes, that's correct. Well done. These pylons can be termed 'manufactured resources' and will be included in the value of the capital stock in an economy.No, that's not right. Enterprise involves the work of the entrepreneur and this is not evident here.

3

Factors of production How would you classify the factor of production shown in the image below? a) Land b) Labour c) Capital d) Enterprise Please select an answer Yes, that's correct. Well done. Land includes natural resources, raw materials and the natural environment, as well as land/water itself. This crop of rape seed would come under that heading.No, that's not right. Labour is people. No people here! No, that's not right. Capital is 'manufactured resources' and will be included in the value of the capital stock in an economy. This is not capital.No, that's not right. Enterprise involves the work of the entrepreneur and this is not evident here.

4

Factors of production What factors of production are evident in the photo below? a) Land b) Labour c) Capital d) Enterprise a) Yes, that's correct. Land is natural resources and that has been used to grow the wheat being harvested.a) No, that's not right. Land, as a natural resource, has been used to grow the wheat that is being harvested.b) Yes, that's correct. Labour is evident as the driver and picker.b) No, that's not right. Labour is evident (just) as the driver of the combine in the cab.c) Yes, that's correct. The combine is a 'man-made' resource and so would be counted as capital.c) No, that's not right. The combine and tractor are 'man-made' resources and so would be counted as capital.d) Yes, that's correct. Enterprise is the skill of the entrepreneur and this is not evident directly here.d) No, that's not right. Enterprise is the skill of the entrepreneur and this is not evident directly here.

5

Factors of production What factors of production are evident in the photo below? a) Land b) Labour c) Capital d) Enterprise a) Yes, that's correct. Land is natural resources and that has been used to grow the wheat being harvested. No raw materials are evident in this picture, though they would obviously be involved at some stage in the process.a) No, that's not right. Land is natural resources and that has been used to grow the wheat being harvested. No raw materials are evident in this picture, though they would obviously be involved at some stage in the process.b) Yes, that's correct. Labour is evident as the person checking the boiler.b) No, that's not right. Labour is evident as the person checking the boiler.c) Yes, that's correct. The boiler (for making jam) is counted as a 'man-made' resource - capital.c) No, that's not right. The boiler (for making jam) is counted as a 'man-made' resource - capital.d) Yes, that's correct. Enterprise is the skill of the entrepreneur and this is not evident directly here.d) No, that's not right. Enterprise is the skill of the entrepreneur and this is not evident directly here.

6

Factors of production How would you classify the factor of production shown in the image below? a) Land b) Labour c) Capital d) Enterprise Please select an answerNo, that's not right. Land includes natural resources, raw materials and the natural environment, as well as land/water itself. These policemen are labour (though perhaps the River could constitute 'land'). Yes, that's correct. Labour, as a factor of production, is people. Policemen are people!No, that's not right. Capital is 'manufactured resources' and will be included in the value of the capital stock in an economy. Policemen are not capital.No, that's not right. Enterprise involves the work of the entrepreneur and this is not evident here.